1,152 - Collecting Debt

If someone owes you money, how do you get them to pay you back? Find out what happens if they don’t pay you in this episode. Slow dialog: 1:25 Explanations: 3:11 Fast dialog: 15:34 Ken: Look at this list of customers who still owe us money. How is this business supposed to survive if we keep extending credit? Marjorie: We started doing it because some of our best customers didn’t have ready cash. They’re good for it. Ken: I know they’ll eventually pay their outstanding debt, but what are we supposed to do in the meantime? We need that cash to buy stock. Marjorie: We can call in the debt and set a deadline for repayment. We can give those who are really hard up an extension on a case-by-case basis. Ken: What if they still don’t pay? We’d have to turn it over to a collection agency. We’d only get 40 cents on the dollar, but we’ll have to close our doors if we don’t collect. Marjorie: Using a collection agency would be a last resort. I’ll call each of our major debtors and have a talk with them. I’m sure they’ll come through. Ken: I hope you’re right or we will be the ones asking for credit! Script by Dr. Lucy Tse